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November 24 2015

Important Decision On Applicable Data Protection Law

After the controversial Google Spain decision (which besides the right to be forgotten also dealt with applicable law rules), the Court of Justice of the EU (CJEU) handed down another important - and yet again rather controversial - decision on 1 October 2015. The decision on applicable data protection law, the test at law for determining which national data protection law or laws apply to processing of personal data, comes from Hungary and concerns Slovak company Weltimmo s.r.o. and the Hungarian data protection authority. The Weltimmo case addresses two important questions: What is the threshold for an establishment and how do the rules on applicable law apply to Internet companies? Which data protection authority has competence to impose sanctions? The Weltimmo judgment is potentially far-reaching and may make data protection compliance for some businesses offering services|products or otherwise operating across multiple Member States more difficult and burdensome.